2.0 Ethics, Rules of Conduct & Professionalism

Question 1

Ethics - Level 2 Example?

Answer 1

• measure work on site with the Client
• acting with honesty and integrity.

Question 2

Ethics - Level 3 Example?

Answer 2

• formula error is assessment.
• acting with honesty and integrity.

Question 3

How do the RICS ensure standards are upheld?

Answer 3

Rules of conduct (effective 2nd Feb 2022).

Question 4

What are the Rules of Conduct(2022)?

Answer 4

• must be honest, act with integrity and professional obligations.
• maintain professional competence and be competent for services.
• give quality and diligent service.
• treat others with respect.
• act in public interest and promote profession.

Question 5

Why were changes made to the Rules of Conduct in 2022?

Answer 5

To help create more trust and transparency.

Question 6

What are the professional obligations for RICS members

Answer 6

• comply with CPD requirements.
• cooperate with RICS.
• provide requested information to standards and regulation board.

Question 7

What are the obligations for a RICS-regulated firm?

Answer 7

• complaint handing procedure including RICS approved ADR provider.
• all work is covered by adequate indemnity insurance.
• sole principals must be covered for death, incapacity, absence…
• firms must cooperate with RICS.
• must provide information as stated by Rules for the registration of firms.

Question 8

RICS Regulation on social media?

Answer 8

• expectations remain the same from social media to face-to-face.
• treat others with respect.
• don’t be dishonest.

Question 9

What is the Black Book?

Answer 9

Collection of technical practice documents to aid junior professionals.

Question 10

Regulations around RICS logo?

Answer 10

• only registered members or firms can use it.
• must act in accordance with organisation rule.
• not alter logo.
• not bring bad reputation to the organisation.

Question 11

How do you act with integrity?

Answer 11

• openness and transparency
• not allowing bias or conflict of interest
• not offering or accepting gifts, hospitality or services

Question 12

What is the difference between ethics and integrity?

Answer 12

Ethics = external quality applies to organisation’s rules regulations and code of conduct to allow employees to work following moral principles.
Integrity = internal quality of being honest, having strong moral principles

Question 13

What tools are there to help members make ethical decisions?

Answer 13

The RICS decision tree.

Question 14

When is a firm required to register for regulation?

Answer 14

• provides surveying services to the public
• operating in Regulated Area A (UK)
• at least 50% of the firm are RICS members

Question 15

Can you accept gifts from Client or Contractor?

Answer 15

I wouldn’t as it may be misconstrued. But you can and you should consult the decision tree when making the decision.

Question 16

What are the CPD requirements for Chartered members?

Answer 16

• 20 hours per calendar year.
• minimum of 10 must be formal.
• Members must record hours by 31 Jan each year.

Question 17

What is conflict of interest?

Answer 17

Situation where there is a risk that professional judgement many be compromised.

Question 18

What are the types of conflict?

Answer 18

Party - conflict between two parties/clients you represent.
Own Interest - interest of member conflict with Client/party’s.
Confidential Information - duty to provide information to one Client but keep it confidential to the other.

Question 19

What should you do if there is a conflict of interest?

Answer 19

Disclose to the Client in writing. If the Client accepts the conflict get INFORMED CONSENT.

Question 20

What is a bribe?

Answer 20

an inducement offered in exchange for commercial, contractual, regulatory or personal advantage.

Question 21

What is the Bribery Act 2010?

Answer 21

Covers criminal law of the following:
- bribing another person
- being bribed
- bribing foreign public official
- failure by organisations to prevent bribery

Question 22

What would you do if you suspect you have been bribed?

Answer 22

Refer to the company & RICS policy on bribery and corruption.
Report it to the National Crime Agency.

Question 23

What are the consequences of bribery?

Answer 23

Jail up to 10 years for individuals. Unlimited fines for both individuals and organisations.

Question 24

What’s are RICS minimum requirements on PII?

Answer 24

Previous year turnover = minimum cover
£100k. = £250k

Up to £200k. = £500k

Above £200k. = £1m

Question 25

How much uninsured excess are firms permitted?

Answer 25

turnover less that £10m = £10k or 2.5% (Whichever is greater). No limit fo turnover above £10m.

Question 26

What is the purpose of PII?

Answer 26

Protect the following from financial loss they cannot meet themselves:
-Firms
-Members
-Clients

Question 27

What is PII run-off cover and what is the RICS’ requirement on it?

Answer 27

Professional indemnity insurance to cover firm after it ceases. RICS require at least 6 years of cover.

Question 28

What is Appendix A of the Rules of Conduct - Members?

Answer 28

Sets out professional obligations for members and firms:
-Members must comply with CPD requirements
-Members must cooperate with RICS
-Members must provide information requested by standards and regulation board.

Question 29

What is Appendix A of the Rules of Conduct - Firms?

Answer 29

-Firms must have a complaint-handling procedure.
-Previous and current work covered by adequate PII.
-Firms must cooperate with RICS.
-Sole principal must make arrangements for work to continue if they are unable to work.

Question 30

What should RICS members do in relation to Money laundering?

Answer 30

• Not be complicit or facilitate suspicious
• Report any suspicious activity

Question 31

What are the RICS discipline routes?

Answer 31

• Caution
• Fine
• Expulsion